CFA AM MOCK 2017 Q59

Hi guys

A. “require Columns 3 and 7 and recommend Column 6.”

B. “require Columns 2 and 5 and recommend Column 1.”

C. “require Column 6 and recommend Columns 4 and 7.”

Column 1 = firm’s presentation.

Column 2 = composite inception date + complete list of information available on demand…

Column 3 = composite includes all fee paying account…

Column 4 = “first Q1 data are not annualized”

Column 5 = “Valuations are computed and performance are reported in US$”

Column 6 = Internal measure of dispersion

Column 7 = Gross of fees description + fee schedule

CFA answer:B

My issues (non exhaustive list):

  • So firm description is a recommendation??? I though it was required…

  • So fee schedule is not required??

Thanks by advance

you’re looking at the notes (disclosures) not the columns of the table. I made the same mistake haha

So answer B relates to: 2 (net of fees), 5 (number of portfolios) and 1 (gross of fees, which is recommended not required as long as you show net of fees)

God…thank you+++